Cooperation with domestic companies fostering achievement of Gazprom’s strategic goals
The Gazprom Board of Directors took note of the information about the engagement of Russian industrial and machine-building enterprises in the implementation of the Company's strategic goals.
It was highlighted that Gazprom is focused on further improving its operational efficiency and maintaining technological leadership among energy companies. These efforts are being carried out in a systematic manner within the Company's Innovative Development Program until 2025. In meeting its current goals, Gazprom is drawing primarily on the potential of domestic enterprises. The successful cooperation between Gazprom and Russian manufacturers has helped reduce the corporate List of priority products for import substitution and local manufacturing by 2.5 times, from 486 items in 2015 to 194 items as of June 2019.
Domestically-produced hi-tech industrial products are being used in a wide range of applications within strategic investment projects of Gazprom, with about 300 Russian enterprises currently involved in their implementation. For instance, the Power of Siberia gas pipeline is being built exclusively with domestic pipes, including pipes with enhanced deformation capacity for crossing active tectonic faults.
Exclusively domestic pipes used in construction of Power of Siberia gas pipeline
The Company continues to interact with leading Russian metal and pipe companies within its sci-tech cooperation programs. The programs aim to provide Gazprom with innovative products in the near term.
As part of the roadmap mechanism, collaboration has been established with 23 Russian regions, facilitating involvement of local enterprises in the manufacturing of state-of-the-art products for Gazprom, including import-substituting ones.
Another important focus area is the local manufacturing of equipment at domestic enterprises. To that end, Gazprom has helped launch the production of spiral heat exchangers at the Linde Severstal joint venture in St. Petersburg. The heat exchangers are used in the construction of the Amur Gas Processing Plant, one of the largest facilities of its kind in the world.
Installation of spiral heat exchanger at construction site of Amur GPP
Gazprom has established cooperation with state-run corporations and the military-industrial complex. Their scientific and production expertise is employed to develop world-class research-intensive products for the Company's projects. These products include equipment for subsea hydrocarbon production and natural gas liquefaction.
Among well-proven mechanisms are long-term contracts between Gazprom and Russian manufacturers for batch production, supply and maintenance of hi-tech products, including import-substituting ones, in the amount equal to guaranteed future purchases. Eleven such contracts are currently in effect.
Joint efforts with small- and medium-sized enterprises (SMEs) are moving forward. In 2018, the Single Window System (www.oknogazprom.ru) was launched, streamlining the process of submitting and reviewing SMEs' proposals for the implementation of their innovative products at Gazprom's facilities.
In addition, the Board of Directors approved the updated Long-Term Development Program of Gazprom and took note of the information on the Group's strategic planning system. It was stressed that Gazprom's three-level planning system (short-term planning for 1 year, medium-term for 1–3 years, and long-term for 10 years or more) is well-balanced and takes into account the best modern Russian and international practices.